Here’s what normally happens when a firm closes an engagement with a third party provider: When outsourcing deals are made, a lot of people does not seem to know and could not even track progress of such deal. Stakeholders from both parties, the service provider and the entrepreneur, tend to have no idea how the project started. For instance, it is usually the corporate head that sees the feasibility of leveraging competencies; the CEO would later disclose the idea to the CIO who might eventually divulge the prospect to the human resource department of the company. In a sense, the idea of delegating tasks to any onshore or offshore location actually goes through a lot of people who understands and translates the idea differently. And more often than not, such pattern results in not getting the kind of service and benefits that a company head actually has in mind.
In view of this, a company who delegates tasks to third party providers has to see to it that there is open communications from all stakeholders concerned. On-shoring or offshoring deals should not be viewed and treated as a hand-off where ideas are passed on to others. Instead, it should be seen as an endeavor of the entire firm. As an outsourcing analyst puts it, leveraging business competencies should not be a private exchange between two corporate heads but a team dialogue of all concerned parties.
The executive who initiated an outsourcing deal may not at all be active in the project itself. But just the same, such professional has to be kept in the communication loop. Top executives need to be well-informed about the day-to-day progress of the project and has to have access to updated documents. It is also essential that both parties keep good documentation of the deal.
A study conducted by a top notch SEO consultation services provider reveals that well documented deals tend to produce better results. Good and high level documentation enhances strategic value of the business engagement. This is primarily because essential goals like cost-savings are well-appropriated without looking past other concerns such as time-to-market issues.
Reality bites, though. Several researches on leveraging competencies reveal that a large chunk of firms who delegate their tasks are focused on reducing expenditures. The study further disclosed that only a handful of these outsourcing companies keep good communication lines with their hired outsource SEO staff.
Fortunately, there have been several changes on the attitudes of many companies these days. A survey involving 1,900 entrepreneurs showed that while many companies turn to third party movers for cost savings, more business owners now outsource to further improve their overall business strategy.